6 May 2022 | 9:45PM SGT

Weekly Fund Flows Monitor

Moderate foreign selling regionally, in a short trading week; Global equity funds
see outflows for the fourth consecutive week; HK retail investor update
Foreign (FII) flows / positioning Global Equity mutual fund flows Sunil Koul
+65-6654-5042 | sunil.koul@gs.com
n The region saw moderate foreign selling of US$0.6bn n Global flows: Global equity funds saw net outflows Goldman Sachs (Singapore) Pte

in a short trading week during the first week of May. for the fourth consecutive week, with US$3bn Timothy Moe, CFA
+65-6889-1199 | timothy.moe@gs.com
India and A-shares (via Northbound) saw muted selling outflows wow (vs. -US$1bn, -$17bn, -$12bn in the past Goldman Sachs (Singapore) Pte

of US$0.2-0.4bn each, while Taiwan saw foreign inflows 3 weeks). Within DM, Europe and US funds saw large Peter Lau, CFA
+852-2978-0722 |
of US$0.1bn. As we have been noting, foreign investors outflows of US$4bn and US$2bn respectively, while yiulungpeter.lau@gs.com
Goldman Sachs (Asia) L.L.C.
have been selling heavily over the past four months, Japan saw ETF-led inflows of US$1bn. John Kwon
+65-6654-6337 | jongmin.kwon@gs.com
with April seeing US$14bn net FII selling. n EM/AEJ funds: EM funds saw another week of Goldman Sachs (Singapore) Pte

n Last year, A-shares saw US$67bn Northbound inflows, active-driven outflows of US$0.2bn, while AEJ funds Kinger Lau, CFA
+852-2978-1224 | kinger.lau@gs.com
while the rest of the region saw US$34bn selling in saw inflows of US$0.8bn. Inflows to China funds Goldman Sachs (Asia) L.L.C.

2021. Ytd, the region has seen US$48bn FII selling slowed to US$0.8bn wow (vs. US$4.5bn last week). Alvin So, CFA
+852-2978-1585 | alvin.so@gs.com
suggesting very light foreign positioning overall. Goldman Sachs (Asia) L.L.C.

Focus: Indonesia flows, HK retail update Amorita Goel

HK/China Connect, Domestic retail flows
n Both Southbound and Northbound saw muted flows as
connect trading was closed for most of this week on the
account of Labour Day holidays. SB: +US$0.2bn wow
led by buying in consumer cyclicals (Ytd: +US$14bn);
NB: -US$0.4n (Ytd: -US$3bn). Connect trading will
resume on May 10 (Tue).
n Korea saw retail net buying of US$0.5bn, while Taiwan
saw retail outflows of US$0.4bn this week. Asian
markets have seen retail inflows of US$40bn ytd.
+65-6654-5445 | amorita.goel@gs.com
Goldman Sachs (Singapore) Pte
n Indonesia has seen US$3bn foreign inflows 2QTD and
US$5bn inflows ytd. Banks, telcos and metals have
seen the largest buying ytd. EM/AEJ fund allocations
have improved further to about 50bp OW in Indonesia.
n Based on April-end data, we update our analysis of
retail investor activity in HK and refresh our list of 20
retail ‘favorite’ stocks. Retail investors hold about
US$220bn in HK listed stocks (7.7% of float cap).

Investors should consider this report as only a single factor in making their investment decision. For Reg AC certification and other important disclosures,
see the Disclosure Appendix, or go to www.gs.com/research/hedge.html.
Goldman Sachs Weekly Fund Flows Monitor

Focus: Indonesia flows and positioning

Exhibit 1: ASEAN-4 markets have seen strong inflows of US$10bn ytd, within Indonesia Exhibit 2: Within Indonesia sectors, Banks, Telcos and Metals have seen the largest buying
seeing US$3bn net buying in 2QTD and US$5bn buying ytd ytd

Cum. net foreign inflows into ASEAN-4 equities since 2019 (US$bn) Indonesia foreign net buying by sectors in 2022Ytd (US$mn)
10 (US$ mn) 3Q21 4Q21 1Q22 2Q22
2046
Indonesia 684 805 2,234 2,786 1000
5 Philippines (205) 1,725 (40) (92)
Thailand (8) 844 3,366 263 800
0 Malaysia 112 148 1,541 160
EM ASEAN 583 3,522 7,101 3,117 600
-5 400
-10 200
-15 0
-20 -200

-25
-30
Dec-18

Dec-19

Dec-20

Sep-21

Dec-21
Sep-19

Sep-20

Jun-21
Jun-19

Jun-20

Mar-21
Mar-19

Mar-20

Mar-22
Indonesia sectors

Source: Bloomberg, Respective Local Stock Exchanges Source: IDX, FactSet

Exhibit 3: The correlation between FII flows and Indonesian equities has risen significantly Exhibit 4: Within the ASEAN-4 markets, EM and Asia funds have improved their allocations
from pre-Covid levels, suggesting rising influence of foreign flows in setting prices in Indonesia further to about 50bp OW

Past 52wk correlation between FII flows ASEAN markets allocation in EM/AeJ funds
90% and equity market USD price return (UW/OW, bps)
80% 250
Pre-Covid (Jan 2020) 200
70%
Current 150 Thailand
60%
50% 100 Philippines Indonesia
40% 50
30% 0
20% -50
10% -100 Malaysia
0% -150
Malaysia

Philippines
China A

Korea
Taiwan

Thailand

India

Indonesia

-200
Mar-08

Mar-09

Mar-10
Mar-06

Mar-07

Mar-11

Mar-12

Mar-13

Mar-14

Mar-15

Mar-16

Mar-17

Mar-18

Mar-19

Mar-20

Mar-21

Mar-22
Source: Goldman Sachs Global Investment Research Source: EPFR, FactSet, MSCI, Goldman Sachs Global Investment Research

6 May 2022 2
Goldman Sachs Weekly Fund Flows Monitor

Focus: Hong Kong retail investor activity update (Apr-end)

Exhibit 5: HK retail investors currently hold ~US$220bn in HK listed stocks, which is around Exhibit 6: Retail investors have been buying Hang Seng Index constituents during the recent
7.7% of free float market cap market sell-off

8.3% HK listed stocks: Retail holdings 300 30 Estimated cumulative retail flows to 32,000
Amount (US$bn) [RHS] HSI constituents (US$bn)
250 25 30,000
7.8% As % of free float mkt cap Hang Seng Index [RHS]
20 28,000
200
7.3% 15 26,000
150
6.8% 10 24,000
100
5 22,000
6.3% 50 0 20,000
5.8% 0 -5 18,000
Jan-20 Jul-20 Jan-21 Jul-21 Jan-22 Jan-20 May-20 Sep-20 Jan-21 May-21 Sep-21 Jan-22

Source: Bloomberg, FactSet, HKEX, MSCI, Goldman Sachs Global Investment Research Source: Bloomberg, FactSet, HKEX, MSCI, Goldman Sachs Global Investment Research

Exhibit 7: Our HK retail sentiment barometer has rebounded to -1s.d. from mid-March trough Exhibit 8: Our HK listed retail favorite stocks have been moving in tandem with the Hang
levels of -2.2s.d. Seng Index recently

z-score Index level Relative USD price performance of

4 HK retail sentiment barometer 32000 HK listed retail favorite stocks vs HSI
170
3 Hang Seng Index [RHS] 30000
160
2 28000 150
140
1 26000
130
0 24000 120
-1 22000 110
100
-2 20000 90
Past 1-year correlation: 66%
-3 Past 6-month correlation: -5% 18000 80
Nov-20
Dec-20

May-21

Nov-21
Dec-21
Jul-21
Sep-20

Jan-21

Jun-21

Aug-21
Sep-21
Oct-20

Feb-21

Oct-21

Jan-22
Feb-22
Mar-21
Apr-21

Mar-22
Nov-20
Feb-20

Nov-21

Feb-22
May-20

Feb-21

Aug-21

May-22
Aug-20

May-21

Source: FactSet, Goldman Sachs Global Investment Research Source: FactSet, Goldman Sachs Global Investment Research

For details, please see Asia-Pacific Portfolio Strategy: Tracking retail investor activity in Hong Kong stock market by analyzing
650K shareholding tables, Mar 12, 2021.

6 May 2022 3
Goldman Sachs Weekly Fund Flows Monitor

Exhibit 9: Based on Apr-end data, we highlight a refreshed screen of 20 HK listed retail ‘favorite’ stocks based on rising retail ownership, strong retail flows and sharp increases in turnover
velocity in the past 3 months
Criteria: 1) Latest retail holdings (as % of float) >50th %ile; 2) Past 3m change in retail holdings as % float (p.p.) >50th %ile; 3) Past 3m retail net buying (US$mn) >50th %ile; 4) Past 3m retail net buying (as %
of float) >50th %ile; 5) Change in turnover velocity (past 3m vs. prior 3m) >50th %ile; 6) Listed market cap >US$1bn; 7) 6M ADVT >US$3mn
>US$1bn >US$3mn >50th %ile >50th %ile >50th %ile >50th %ile >50th %ile
Size and Liquidity Retail ownership Retail flows Turnover velocity

Latest Past 3m Change in

Listed Past 3m Past 3m Annualized
6M retail change in turnover
BBG Market retail net retail net turnover
Company Name Market GS Sector Quoted Price ADVT holdings retail velocity
Ticker Cap buying buying (as velocity
(US$mn) (as % of holdings as (past 3m vs.
(US$mn) (US$mn) % of float) (past 3m)
float) % float (p.p.) prior 3m)
HK listed retail favorite stocks
941 HK China Mobile China Telecommunication Services HKD 51.5 134,238 172 11 0.6 230 0.6 0.4 0.1
388 HK HKEx Hong Kong Insurance & other Financials HKD 341.6 55,175 231 11 1.6 907 1.3 1.2 0.5
316 HK Orient Overseas (Int'l) China Transportation HKD 222.4 18,710 31 19 0.2 2 0.1 0.6 0.3
823 HK Link REIT Hong Kong Real Estate HKD 67.1 18,039 43 8 0.2 41 0.2 0.7 0.1
386 HK China Petroleum & Chemical (H) China Energy HKD 3.95 12,839 52 11 1.0 111 0.9 1.3 0.4
1288 HK Agricultural Bank of China (H) China Banks HKD 2.96 11,592 35 10 0.2 19 0.2 0.9 0.2
2628 HK China Life Insurance (H) China Insurance & other Financials HKD 11.56 10,959 43 19 0.8 90 0.7 1.2 0.6
998 HK China CITIC Bank (H) China Banks HKD 3.73 7,072 12 13 0.2 9 0.2 0.5 0.1
728 HK China Telecom (H) China Telecommunication Services HKD 2.86 5,056 27 10 0.3 12 0.2 1.6 0.5
8 HK PCCW Hong Kong Telecommunication Services HKD 4.52 4,457 4 17 0.5 10 0.5 0.3 0.2
966 HK China Taiping Insurnace China Insurance & other Financials HKD 8.69 3,979 8 8 0.2 5 0.2 0.6 0.3
14 HK Hysan Development Hong Kong Real Estate HKD 23.75 3,120 4 8 0.2 4 0.2 0.4 0.2
1339 HK People's Insurance of China (H) China Insurance & other Financials HKD 2.54 2,824 7 11 0.1 3 0.1 0.8 0.2
6837 HK Haitong Securities (H) China Insurance & other Financials HKD 5.39 2,341 7 11 0.3 5 0.2 0.7 0.2
813 HK Shimao Property China Real Estate HKD 4.42 2,139 27 13 1.5 14 1.4 3.3 0.3
3383 HK Agile Group China Real Estate HKD 3.63 1,811 7 25 1.1 6 1.0 1.0 0.2
303 HK Vtech Hong Kong Tech Hardware & Semis HKD 56 1,801 3 10 0.9 11 0.8 0.5 0.2
670 HK China Eastern Airlines (H) China Transportation HKD 2.64 1,741 4 12 2.9 19 2.4 0.8 0.4
763 HK ZTE (H) China Tech Hardware & Semis HKD 16.08 1,548 14 11 0.9 22 1.1 2.6 1.1
460 HK Sihuan Pharmaceutical China Health Care HKD 1.16 1,379 9 24 2.0 13 2.0 1.6 0.5
Stocks' Median 4,218 13 11 0.5 13 0.5 0.8 0.2
HK Market's Median 8 0.1 1 0.0 0.8 0.1
Note: Values of retail holdings and flows are estimated based on HKEXnews CCASS shareholding data. Pricing as of May 05, 2022. Retail ownership and flows data as of Apr 29, 2022.

Source: Bloomberg, FactSet, HKEXnews, Goldman Sachs Global Investment Research

6 May 2022 4
Goldman Sachs Weekly Fund Flows Monitor

Foreign Institutional Investors (FII) Flows

Exhibit 10: The region saw moderate foreign selling of US$0.6bn this week; India and Exhibit 11: In 2020/21, EM Asian equities (ex-China) recorded US$32-US$34bn net FII selling;
A-shares saw muted foreign net selling of US$0.2-0.4bn each, while Taiwan saw foreign Ytd there has been about US$45bn net FII selling
inflows of US$0.1bn this week
FII flows (US$ bn)
Cumulative net foreign inflows into equities since 2020 (US$bn)
(US$ mn) 2021 2022Ytd 1-mth Wtd Markets 2017 2018 2019 2020 2021 2022Ytd
China-A (Northbound flows) 67,205 (3,236) 733 (355)
Korea (Cash only) (23,236) (11,516) (4,938) (31) India 8.0 (4.6) 14.2 23.4 3.9 (17.5)
Taiwan (15,245) (26,291) (8,595) 111
80 India (Cash only) 3,948 (17,539) (4,207) (201) Korea 8.1 (5.7) 1.0 (20.1) (23.2) (11.5)
ASEAN (ID+TH+PH+MY) 256 10,218 2,692 (98) Taiwan 6.1 (12.2) 9.4 (16.0) (15.2) (26.3)
Emerging Asia (Cash only) 32,927 (48,363) (15,613) (573)
Note: India's data as of close of Wednesday Philippines 1.1 (1.1) (0.2) (2.5) (0.0) (0.1)
30 Indonesia (3.0) (3.5) 3.5 (3.2) 2.7 5.0
Thailand (0.8) (8.9) (1.5) (8.3) (1.6) 3.6
Malaysia 2.5 (2.9) (2.7) (5.8) (0.8) 1.7
-20
ASEAN (0.2) (16.3) (1.0) (19.8) 0.3 10.2
EM Asia ex CN 22.0 (38.8) 23.7 (32.5) (34.3) (45.1)
-70 EM Asia ex CN ASEAN China A-shares (NB) 29.6 44.7 50.5 30.6 67.2 (3.2)
India Taiwan
Korea China-A (Northbound flows) EM Asia 51.6 5.9 74.2 (2.0) 32.9 (48.4)
-120 EM Asia (inc. CN)
Dec-19 Jun-20 Dec-20 Jun-21 Dec-21

Source: Bloomberg, Respective Local Stock Exchanges Source: Bloomberg, FactSet, MSCI, Respective Local Stock Exchanges

Exhibit 12: Foreign investors have net sold US$86bn in EM Asia (ex-China) from the late Jan Exhibit 13: Cumulative Northbound flows since its inception in late 2014
‘21 peak, wiping out all the US$33bn inflows from late-May ‘20, suggesting light foreign
positioning overall

Cumulative FII flows in EM Asian Cumulative Northbound Connect net buying (US$bn) 2022YTD:
40 850 300 2014-15: US$ -3.2bn
ex China equities (since 2017) 2016: 2017:
1
Cum. foreign flows (US$ bn)

20 US$ -49bn US$ 27bn 800 US$15bn US$9bn US$30bn

750 250
0
US$ 33bn 700
-20 200
650
-40 US$ -62bn MSCI A-share
600 150 Inclusion
-60 Announcement
550
-80 100
MSCI EM US$ -86bn 500
-100 Asia [RHS] 450 50
2018: 2019: 2020: 2021:
-120 400 US$45bn US$50bn US$31bn US$67bn
0
Dec-16

Dec-18

Dec-20
Dec-17

Dec-19

Dec-21
Jun-18

Jun-20
Jun-17

Jun-19

Jun-21

Nov-14 Nov-15 Nov-16 Nov-17 Nov-18 Nov-19 Nov-20 Nov-21

Source: Bloomberg, FactSet, MSCI, Respective Local Stock Exchanges Source: HKEX, Wind, Goldman Sachs Global Investment Research

6 May 2022 5
Goldman Sachs Weekly Fund Flows Monitor

Stock Connect: Southbound Flows

Exhibit 14: Cumulative Southbound flows since its inception in late 2014 Exhibit 15: Weekly Southbound net buying in past 52 weeks

Cumulative Southbound Connect net buying (US$bn) Weekly Southbound net buying in past 52 weeks (US$ mn)
350 2014-15: 2016: 2022YTD: US$ 14.0bn
1

4,000 SB net buying (US$ mn) Average

US$18bn US$32bn
300 3,000
2,000 216
250
1,000
200 0
150 (1,000)
(2,000)
100
(3,000) Average: US$ 357mn
50 2017: 2018: 2019: 2020: 2021: (4,000)
US$44bn US$11bn US$32bn US$87bn US$59bn

11-Feb
24-Sep
7-May

27-Aug

22-Oct

19-Nov

17-Dec

8-Apr

6-May
11-Mar
4-Jun

2-Jul

30-Jul

14-Jan
0 0

Nov-14 Nov-15 Nov-16 Nov-17 Nov-18 Nov-19 Nov-20 Nov-21

Source: HKEX, Wind Source: HKEX, Wind

Exhibit 16: SB weekly net buying by sector Exhibit 17: Top 5 bought/sold stocks for the week

SB weekly net buying (US$ mn) Southbound Top Buying (for the week)
(May 02-May 06) SB Net Buying
S.no Ticker Name
(US$ mn)
Discretionary
1 3690.HK Meituan Dianping 187
Energy 2 0883.HK CNOOC 112
Insurance, Other Fins. 3 2020.HK ANTA Sports 49
Tech HW, Semi 4 2331.HK Li Ning 49
5 0388.HK HKEx 25
Materials
Industrials
Southbound Top Selling (for the week)
Comm. Svcs. SB Net Selling
S.no Ticker Name
(US$ mn)
Real Estate
1 2269.HK Wuxi Biologics -38
Health Care 2 0700.HK Tencent -31
-100 0 100 200 300 3 6098.HK Country Garden Services -23
Based on daily top 10 traded stocks 4 1211.HK BYD (H) -16
5 1088.HK China Shenhua Energy (H) -15

Source: HKEX, FactSet Note: Based on daily top 10 traded stocks.

Source: HKEX, FactSet

For detailed analysis on SB flows, please see China Musings: The (differentiated) power of Southbound flows, Jan 27, 2021.

6 May 2022 6
Goldman Sachs Weekly Fund Flows Monitor

Exhibit 18: Largest Southbound holdings (Value and % of float)

Top Southbound Holdings (Value) Top Southbound Holdings (as % float cap)
SB Holding Value SB Holding Value
S.no Ticker Name S.no Ticker Name
(US$ mn) (as % float cap)
1 0700.HK Tencent 32,168 1 2400.HK XD, Inc. 89%
2 0939.HK CCB (H) 16,702 2 9992.HK Pop Mart Int'l 82%
3 1398.HK ICBC (H) 13,497 3 1797.HK Koolearn Technology 81%
4 3690.HK Meituan Dianping 12,365 4 1065.HK Tianjin Capital Environ. (H) 79%
5 0005.HK HSBC Holdings 12,152 5 6078.HK Hygeia Healthcare 77%
6 0941.HK China Mobile 11,850 6 6806.HK Shenwan Hongyuan (H) 77%
7 0883.HK CNOOC 9,271 7 0861.HK Digital China 74%
8 1810.HK Xiaomi Corp. 4,558 8 6099.HK China Merchants Securities (H) 72%
9 1088.HK China Shenhua Energy (H) 3,743 9 6049.HK Poly Property Services (H) 69%
10 2020.HK ANTA Sports 3,423 10 2380.HK China Power Int'l Dev 67%
Note: SB holding values are based on latest available CCASS shareholding information. Free float factors are based on MSCI foreign inclusion factor and Bloomberg free float percent data (as of Nov 2021).

Source: Bloomberg, HKEX, FactSet, MSCI

Exhibit 19: Top Southbound ownership changes (over the past week)

Top Increase in SB Ownership (over the past week) Top Decrease in SB Ownership (over the past week)
SB Ownership SB Ownership
S.no Ticker Name Change S.no Ticker Name Change
(as % float) (as % float)
1 6699.HK Angelalign Technology 1.4% 1 6158.HK Zhenro Properties -2.2%
2 2500.HK Venus Medtech (H) 0.9% 2 3908.HK China Int'l Capital Corp. -0.47%
3 3613.HK Tong Ren Tang Chinese Medicine 0.8% 3 6601.HK Cheerwin Group -0.41%
4 9992.HK Pop Mart Int'l 0.7% 4 9966.HK Alphamab Oncology -0.40%
5 6078.HK Hygeia Healthcare 0.6% 5 1385.HK Shanghai Fudan Microelectronics (H) -0.34%
6 9996.HK Peijia Medical Ltd. 0.6% 6 6068.HK Wisdom Education -0.32%
7 6989.HK Excellence Commercial Property 0.50% 7 3990.HK Midea Real Estate -0.31%
8 1456.HK Guolian Securities (H) 0.49% 8 2883.HK China Oilfield Services (H) -0.28%
9 9939.HK Kintor Pharma. Ltd 0.49% 9 3331.HK Vinda International -0.22%
10 3606.HK Fuyao Glass (H) 0.45% 10 6996.HK Antengene Corporation -0.17%
Note: SB holding values are based on latest available CCASS shareholding information. Free float factors are based on MSCI foreign inclusion factor and Bloomberg free float percent data (as of Nov 2021).

Source: Bloomberg, HKEX, FactSet, MSCI

6 May 2022 7
Goldman Sachs Weekly Fund Flows Monitor

Exhibit 20: Top Southbound traded stocks this week (as % of stock turnover)
Top SB traded stocks (as % of stock turnover) Top SB traded stocks (as % of stock turnover)
SB net buying SB net buying
(as % stock turnover) (as % stock turnover)
S.no Ticker Name 5/2 5/3 5/4 5/5 5/6 S.no Ticker Name 5/2 5/3 5/4 5/5 5/6

1 0883.HK CNOOC - - - 36% 18% 11 1024.HK Kuaishou Technology (B) - - - 11% -5%
2 2899.HK Zijin Mining Group (H) - - - 33% - 12 0941.HK China Mobile - - - -4% 10%
3 2020.HK ANTA Sports - - - 25% 19% 13 1810.HK Xiaomi Corp. - - - 5% 10%
4 2331.HK Li Ning - - - -2% 23% 14 1211.HK BYD (H) - - - -9% -
5 2269.HK Wuxi Biologics - - - -21% 2% 15 1171.HK Yanzhou Coal Mining (H) - - - 5% -
6 6049.HK Poly Property Services (H) - - - - 20% 16 0981.HK SMIC - - - - -4%
7 6098.HK Country Garden Services - - - - -20% 17 0700.HK Tencent - - - -3% 0%
8 0388.HK HKEx - - - 14% - 18 1919.HK COSCO Shipping - - - -1% -
9 3690.HK Meituan Dianping - - - 10% 13% 19 - - - - - - -
10 1088.HK China Shenhua Energy (H) - - - -13% -8% 20 - - - - - - -

Note: Based on top 10 traded stocks.

Source: HKEX, FactSet

Exhibit 21: Occurrences in Top 10 stocks (Southbound favorites)

SB stocks that have occurred most SB stocks that have occurred most SB stocks that have occurred most
frequently in Top 10 (past 1-year) frequently in Top 10 (past 1-month) frequently in Top 10 (past 1-week)
% times % times % times
S.no Ticker Name in Top 10 S.no Ticker Name in Top 10 S.no Ticker Name in Top 10
past 1-yr past 1-mo past 1-wk
1 3690.HK Meituan Dianping 100% 1 3690.HK Meituan Dianping 100% 1 0941.HK China Mobile 100%
2 0700.HK Tencent 100% 2 0700.HK Tencent 100% 2 3690.HK Meituan Dianping 100%
3 1810.HK Xiaomi Corp. 85% 3 0883.HK CNOOC 100% 3 0883.HK CNOOC 100%
4 0941.HK China Mobile 78% 4 1024.HK Kuaishou Technology (B) 94% 4 1088.HK China Shenhua Energy (H) 100%
5 2269.HK Wuxi Biologics 69% 5 2331.HK Li Ning 94% 5 0700.HK Tencent 100%
6 0883.HK CNOOC 64% 6 0941.HK China Mobile 88% 6 2269.HK Wuxi Biologics 100%
7 0981.HK SMIC 60% 7 1810.HK Xiaomi Corp. 69% 7 2020.HK ANTA Sports 100%
8 2382.HK Sunny Optical 52% 8 0939.HK CCB (H) 69% 8 1810.HK Xiaomi Corp. 100%
9 0175.HK Geely Automobile 48% 9 2269.HK Wuxi Biologics 63% 9 1024.HK Kuaishou Technology (B) 100%
10 2020.HK ANTA Sports 44% 10 2020.HK ANTA Sports 56% 10 2331.HK Li Ning 100%

Source: HKEX, FactSet

6 May 2022 8
Goldman Sachs Weekly Fund Flows Monitor

Southbound Ownership: Financials

We highlight Southbound data in the largest owned financials sector (The Big 5). We show flows in only those China
financials with Southbound holding greater than US$10bn, which are currently CCB and ICBC.

Exhibit 22: Southbound ownership in China banks Exhibit 23: Southbound ownership in China insurance stocks
Largest 5 Offshore China banks in MSCI China by market cap Largest 7 Offshore China insurers in MSCI China by market cap

% Southbound Ownership (as % of float) %

Southbound Ownership (as % of float)
%
40 China banks China insurance
35 Ping An (H) China Life (H) 70
CCB (H) ABC (H)
35 CPIC (H) PICC P&C (H)
ICBC (H) BOC (H) 30 60
30 New China Life (Rhs) China Taiping (Rhs)
CMB (H) PICC Group (Rhs)
25 50
25
20 40
20
15 30
15
10 10 20

5 5 10

0 0 0

Apr-18

Apr-19

Apr-21
Apr-17
Jul-17

Jul-19

Jul-21
Oct-17
Jan-18

Jul-18
Oct-18

Oct-19
Jan-20
Apr-20
Jul-20
Oct-20

Oct-21
Jan-22
Apr-22
Jan-17

Jan-19

Jan-21
Jul-17

Jul-18

Jul-19

Jul-20

Jul-21
Apr-17

Apr-18

Oct-18

Apr-19

Oct-19

Oct-20

Oct-21
Oct-17

Apr-21

Apr-22
Jan-17

Jan-18

Jan-19

Jan-20
Apr-20

Jan-21

Jan-22

Source: HKEX, FactSet Source: HKEX, FactSet

Exhibit 24: CCB (H): Southbound weekly net buying for the past 1 year Exhibit 25: ICBC (H): Southbound weekly net buying for the past 1 year

CCB (H): SB weekly net buying ICBC (H): SB weekly net buying
150 (US$ mn, past 1 year) 50 (US$ mn, past 1 year)
100 0
0
50
0 -50
0
-100
-50
-150
-100

-150 -200

-200 Note: Based on daily top 10 traded stocks. -250 Note: Based on daily top 10 traded stocks.
07-May 16-Jul 24-Sep 03-Dec 11-Feb 22-Apr 07-May 16-Jul 24-Sep 03-Dec 11-Feb 22-Apr

Source: HKEX, FactSet Source: HKEX, FactSet

6 May 2022 9
Goldman Sachs Weekly Fund Flows Monitor

Southbound Favorite Mega-caps: Meituan, Xiaomi, Tencent and SMIC

We include Southbound ownership/flows on mega cap stocks that occurred most frequently, i.e., those with market cap >
US$20bn and showing up at least 75% of the time in the top 10 in the past 1 year.

Exhibit 26: Meituan: Southbound weekly net buying Exhibit 27: Xiaomi: Southbound weekly net buying

Meituan Dianping: SB weekly net buying Xiaomi: SB weekly net buying

1,000 (US$ mn, past 1 year) 500 (US$ mn, past 1 year)
400
500 187 300
0 200
100
-500 20
0
-1,000 -100
-200
-1,500
-300
-2,000 Note: Based on daily top 10 traded stocks. -400 Note: Based on daily top 10 traded stocks.
07-May 16-Jul 24-Sep 03-Dec 11-Feb 22-Apr 07-May 16-Jul 24-Sep 03-Dec 11-Feb 22-Apr

Source: HKEX, FactSet Source: HKEX, FactSet

Exhibit 28: Tencent: Southbound weekly net buying Exhibit 29: SMIC: Southbound weekly net buying

1,500 Tencent: SB weekly net buying SMIC: SB weekly net buying

(US$ mn, past 1 year) 800 (US$ mn, past 1 year)
1,000
600
500
400
0
200
-500 -31
0
-1,000 -2

-1,500 -200

-2,000 Note: Based on daily top 10 traded stocks. -400 Note: Based on daily top 10 traded stocks.
07-May 16-Jul 24-Sep 03-Dec 11-Feb 22-Apr 07-May 16-Jul 24-Sep 03-Dec 11-Feb 22-Apr

Source: HKEX, FactSet Source: HKEX, FactSet

6 May 2022 <0

Goldman Sachs Weekly Fund Flows Monitor

Stock Connect: Northbound Flows

Exhibit 30: Cumulative northbound connect net buying since 2018 Exhibit 31: Weekly northbound net buying in past 52 weeks

Cumulative Connect net buying since 2018 (US$bn) Weekly Northbound net buying in past 52 weeks(US$ mn)
250 10,000 NB net buying (US$ mn) Average
Southbound
8,000
200 Northbound
US$ 189.7bn 6,000
(Ytd: US$ -3.2bn)
4,000
150
2,000
0
100
(2,000)
50 US$ 201.8bn (4,000)
(6,000) (355)
(Ytd: US$ 14.0bn)
Average: US$ 763mn
0 (8,000)

11-Feb
24-Sep
7-May

27-Aug

8-Apr

6-May
22-Oct

19-Nov

17-Dec
4-Jun

14-Jan
2-Jul

30-Jul

11-Mar
Jul-20

Jul-21
Jul-18

Jul-19
Apr-18

Oct-18

Oct-19

Apr-20

Apr-21

Apr-22
Oct-20

Oct-21
Jan-18

Apr-19

Jan-21

Jan-22
Jan-19

Jan-20

Source: HKEX, Wind Source: HKEX, Wind

Exhibit 32: Northbound top buying for the week Exhibit 33: Northbound top selling for the week
Northbound Top Buying (for the week) Northbound Top Selling (for the week)
NB Net Buying NB Net Selling
S.no Ticker Name S.no Ticker Name
(US$ mn) (US$ mn)
1 000651.SZ Gree Electric (A) 136 1 300750.SZ Contemporary Amperex Tech (A) -560
2 600519.SS Kweichow Moutai (A) 123 2 601668.SS China State Construction Eng. (A) -45
3 600887.SS Yili Industrial (A) 82 3 601899.SS Zijin Mining (A) -38
4 000333.SZ Midea Group (A) 50 4 000002.SZ China Vanke (A) -35
5 600406.SS NARI Technology (A) 48 5 603259.SS WuXi AppTec (A) -26
6 002304.SZ Yanghe Brewery Joint-Stock (A) 45 6 300059.SZ East Money Information -23
7 300274.SZ Sungrow Power Supply (A) 35 7 600036.SS CMB (A) -21
8 601919.SS COSCO SHIPPING (A) 34 8 601012.SS LONGi Green Energy Tech (A) -7
9 002594.SZ BYD (A) 33 9 000858.SZ Wuliangye (A) 0
10 600309.SS Wanhua Chemical Group (A) 31 10 - - -

Note: Based on daily top 10 traded stocks. Note: Based on daily top 10 traded stocks.

Source: HKEX, FactSet Source: HKEX, FactSet

6 May 2022 <<

Goldman Sachs Weekly Fund Flows Monitor

Global, Regional and China Offshore/HK Fund Flows

Exhibit 34: Global Equity mutual funds have been seeing outflows in recent weeks Exhibit 35: Within DM, Europe and US funds saw large outflows of US$4bn and US$2bn
respectively, while Japan saw inflows of US$1bn

(ex CN)
US$bn Flows into equity mutual funds globally Equity -0.1

FII
50 Bond 2
4-week moving average Latest 4w ma: US$-9 bn
40 Europe -4

Equity Mutual Funds

30 52-week moving average USA -2
20
GEM -0.2
10
AeJ 1
0
-10 China 1

-20 Japan 1

Connect
-30 NB -0.4

Flows
Dec-12

Dec-16

Dec-19
Dec-09

Dec-10

Dec-11

Dec-13

Dec-14

Dec-15

Dec-17

Dec-18

Dec-20

Dec-21
SB 0.2

-10 -8 -6 -4 -2 0 2 4
Current week flows (US$bn) Past 4wk Avg (US$bn)

Source: EPFR, Goldman Sachs Global Investment Research Source: Bloomberg, EPFR, HKEx, FactSet, Goldman Sachs Global Investment Research

Exhibit 36: US ETFs saw large inflows of US$3bn this week; GEM, China and AEJ passive Exhibit 37: EM funds saw another week of active-driven outflows of US$0.2bn; AEJ funds
funds saw moderate inflows of US$0.5-0.6bn each saw moderate inflows of US$0.8bn this week (70% passive)

Cumulative active & passive equity fund flows since 2019 (US$bn) Cumulative equity fund flows since 2019 (US$bn)
525 (US$ mn) 2020 Week-to-date 100 Since 2019 Wtd GEM
2021 2022Ytd
Total Active Passive
USA
(US$mn) GEM AEJ GEM AEJ (Passive)
425 USA 23,358 387,376 78,892 (2,071) (4,727) 2,656 80 Active (10,087) 19,441 (849) 254
Europe (45,409) 3,330 (33,453) (4,097) (3,577) (520)
Japan 37,130 28,813 (2,201) 1,004 65 939 Passive 74,854 75,384 613 540 AeJ
325 China 15,788 50,072 32,661 803 237 566 60 Total 64,766 94,825 (236) 793 (Passive)
AeJ 2,564 64,368 42,956 793 254 540
225 GEM (5,321) 51,653 14,676 (236) (849) 613 40 AEJ
Japan
(Active)
125 GEM 20
China GEM
25 0
AeJ (Active)
-75 -20

-175 Europe -40

Jan-19 Jul-19 Jan-20 Jul-20 Jan-21 Jul-21 Jan-22 Jan-19 Jul-19 Jan-20 Jul-20 Jan-21 Jul-21 Jan-22

Source: EPFR Source: EFPR

6 May 2022 <2

Goldman Sachs Weekly Fund Flows Monitor

Exhibit 38: Southbound flows have slowed down recently; China ETF (ex-onshore) inflows Exhibit 39: Inflows to China-focused funds slowed down to US$0.8bn this week (vs.
have been robust in the past one year US$4.5bn last week)

Cumulative capital flows to China offshore/HK in past 52 weeks (US$bn) Weekly flows into China dedicated equity funds in past 52 wks (US$ bn)
70 ETF (ex. Onshore) Active (ex. Onshore) Passive Active Total
Southbound Connect Total fund flows 62 (0) 8
60
Note: Numbers in brackets refer to this week's flows
50 Data as of 5/4/2022. 6

40 4
44 (0)
30 2
0.8
20 0
19 (0)
10 -2
0 (0)
0 -4
-10 -6
May-21

Nov-21

Dec-21

May-22
Jul-21
Jun-21

Aug-21

Sep-21

Feb-22
Jan-22
Oct-21

Mar-22

Apr-22

20-Oct

17-Nov

15-Dec

9-Feb
5-May

25-Aug

22-Sep

6-Apr

4-May
2-Jun

12-Jan

9-Mar
30-Jun

28-Jul
Source: EPFR, HKEX Source: EPFR

Exhibit 40: Within US-domiciled funds, money market and bond funds saw outflows ytd, and Exhibit 41: EM Asian (ex-China) bond net foreign buying is slowing down; Equities have
equity funds also saw outflows recently seen foreign outflows recently

US$bn Cumulative fund flows since 2019 Cum. foreign net buying of EM Asia ex CN equities/bonds since 2019 (US$bn)
2,000 (US listed funds) 250 Equity flows include Korea, Taiwan, India,
Money
Market 200 Indonesia, Philippines, Thailand, Malaysia
1,500 Bond flows include Korea, India, Indonesia, Thailand
150
1,000
Bond 100
Funds Bond
500 50
0
0
-50
-500 -100
Equity Funds Equity
-1,000 -150

Sep-19

Sep-20

Sep-21
Jun-19

Jun-20

Jun-21
Mar-19

Mar-20

Mar-21

Mar-22
Dec-18

Dec-19

Dec-20

Dec-21
Dec-18

Dec-19

Dec-20

Dec-21
Sep-19

Sep-20

Sep-21
Mar-19

Mar-20

Mar-21

Mar-22
Jun-19

Jun-20

Jun-21

Source: Lipper US Fund Flows Source: Bloomberg, Respective Local Stock Exchanges

6 May 2022 <3

Goldman Sachs Weekly Fund Flows Monitor

Retail Investor Flows

Exhibit 42: Korea saw modest retail net buying of US$0.5bn, while Taiwan saw modest retail Exhibit 43: Our regional retail sentiment barometer (GSSRARTL) has dropped to below
outflows of US$0.4bn this week; Asian markets have seen about US$40bn inflows ytd average levels

Source: Bloomberg, AMFI, TEJ, FactSet, MSCI Source: Goldman Sachs Global Investment Research

Exhibit 44: Retail sentiment is at below average levels for most Asian markets Exhibit 45: Our basket of Retail ‘favorite’ stocks in the region (GSSZRFAV) has lagged
recently, but outperformed MXAPJ sharply during the market rebound in 2020

Source: Goldman Sachs Global Investment Research Source: FactSet, MSCI, Goldman Sachs Global Investment Research

6 May 2022 <4

Goldman Sachs Weekly Fund Flows Monitor

Regional Equity Risk Barometers (ERBs)

Exhibit 46: GS Asia Pacific ex-Japan Equity Risk Barometer Exhibit 47: GS China-H Equity Risk Barometer
APxJ ERB level MXAPJ level CERH level MXCN level
3 780 3 140
High risk appetite China-H ERB MXCN (rhs) High risk appetite
APxJ ERB MXAPJ (rhs) 740
2 130
2 700
1 120
660
1 620 110
0
580 100
0 -1
540 90
500 -2
-1 80
460 -3 70
-2 420
-4 60
Low risk appetite 380
Low risk appetite
-3 340 -5 50

Nov-18

May-20

Nov-20

May-21

Nov-21

May-22
May-18

May-19
May-19

Nov-19

May-20

Nov-20

May-22

Nov-19
May-18

May-21
Nov-18

Nov-21
Source: Bloomberg, FactSet, MSCI, Goldman Sachs Global Investment Research Source: Bloomberg, FactSet, MSCI, Goldman Sachs Global Investment Research

Exhibit 48: GS India Equity Risk Barometer Exhibit 49: Our ERBs indicate that risk appetite is below average levels for all Asian
markets
India ERB level Nifty level
3 21000 GS proprietary ERBs for different markets
India ERB Nifty Index (rhs) High risk appetite
4 High-Low range (1 year) Current 23-Mar-2020 2021 High
2 19000 3
1 2
17000
0 1
15000 -0.7 -0.4
0 -1.2
-1 -1.2
13000 -1
-2 -0.7 -0.9
-2
11000 -1.9
-3 -3
-4 9000 -4
Low risk appetite -5
-5 7000 APxJ China China Korea Taiwan India Global
Nov-18

Nov-19

Nov-21
Nov-20
May-18

May-21
May-19

May-20

May-22

offshore onshore
Note: Global refers to the GS Risk Appetite Indicator <GSRAII>.

Source: Bloomberg, FactSet, MSCI, Goldman Sachs Global Investment Research Source: Goldman Sachs Global Investment Research

6 May 2022 <5